Weights for the TWI

The Australian dollar trade-weighted index (TWI) is the price of the Australian dollar in terms of a group (or ‘basket’) of foreign currencies based on their share of trade with Australia. While bilateral exchange rates are the most frequently quoted exchange rates, the TWI provides a broader measure of whether the Australian dollar is appreciating or depreciating against the currencies of its trading partners.

New weights for the trade-weighted index (TWI) of the Australian dollar will apply from 1 December 2020. The weights are based on the composition of Australia's merchandise goods and services trade for the 2019/20 financial year. The updated index includes a group of 18 foreign currencies. This is one less than in the previous index; the United Arab Emirates dirham is not included in the TWI this year based on the method of calculation. The Chinese renminbi continues to have the largest weight in the TWI, and its weight has increased by 3 percentage points in the updated index. Other changes in individual currency weights were within +/- 1 percentage point. For further details regarding the methodology used for constructing the index, please see ‘TWI – Method of Calculation’.

Weights in the Trade-weighted Index
Per cent
Currency From 1 December 2020
2 December 2019 –
30 November 2020
Chinese renminbi 32.7625 29.9577
United States dollar 10.3811 9.5682
Japanese yen 10.2169 11.1923
European euro 8.9663 9.3676
South Korean won 4.9698 5.2207
United Kingdom pound sterling 4.7822 3.8711
Singapore dollar 4.0493 4.1744
New Zealand dollar 3.7333 3.9075
Indian rupee 3.4223 3.8721
Thai baht 2.8176 3.1633
Malaysian ringgit 2.8125 3.2069
New Taiwan dollar 2.4292 2.4790
Indonesian rupiah 2.0407 2.2246
Vietnamese dong 1.9916 1.9773
Hong Kong dollar 1.7064 1.9452
Canadian dollar 1.0099 1.0489
Swiss franc 0.9811 0.8891
Papua New Guinea kina 0.9273 0.9592
United Arab Emirates dirham -- 0.9749

Sources: ABS; RBA